Unit 4.4 · Economic Integration
Preferential Trade Agreements
AO1
Syllabus Requirement
Agreements that give preferential access to certain products from participating countries. These may take the form of bilateral trade agreements between two countries, regional trade agreements among a group of neighboring or connected countries, or multilateral trade agreements involving many countries, such as those under the World Trade Organization (WTO).
Assessment Objectives
AO1Knowledge and Understanding
Summary
Preferential trade agreements are arrangements between countries that provide better trading conditions to each other compared to non-member countries. These agreements typically involve reducing or eliminating trade barriers on specific goods and services, facilitating economic integration and interdependence among member nations.